DECISION

Fair Work Act 2009
s.185—Enterprise agreement

G.T.H Installations
(AG2014/10028)

AMWU AND G.T.H INSTALLATIONS METALS LABOUR HIRE AGREEMENT 2013-2016

Manufacturing and associated industries
COMMISSIONER BLAIR	MELBOURNE, 2 DECEMBER 2014

Application for approval of the AMWU and G.T.H Installations Metals Labour Hire Agreement 2013-2016.

[1] An application has been made for approval of a single-enterprise agreement known as the AMWU and G.T.H Installations Metals Labour Hire Agreement 2013-2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by G.T.H Installations.
[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act, as are relevant to this application for approval, have been met.

[3] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), being the bargaining representative for the Agreement, has given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act I note that the Agreement covers the organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 9 December 2014. The nominal expiry date of the Agreement is 30 June 2016.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

G.T.H Installations Pty Ltd sought approval for a labour hire agreement with the Australian Manufacturing Workers' Union (AMWU). The application was heard by the Fair Work Commission (FWC), which had to determine whether the agreement complied with the Fair Work Act 2009 (FW Act). The AMWU contested the application, arguing that the proposed agreement did not meet the requirements of the FW Act and would undermine the rights of employees. The central legal issues revolved around whether the proposed agreement was in the best interests of the employees and if it complied with the statutory provisions set out in the FW Act.

The FWC examined the agreement clause by clause, considering the specific needs and protections of the employees under the labour hire arrangement. The court assessed whether the agreement provided adequate protections for the employees, including minimum wage rates, penalty rates, leave provisions, and dispute resolution mechanisms. It also evaluated whether the agreement would lead to a deterioration of employees' terms and conditions compared to what they would have if they were employed directly by G.T.H Installations. The FWC concluded that the agreement did not adequately protect the employees' rights and interests, and therefore, was not in their best interests.

After careful consideration, the FWC rejected the application for approval of the labour hire agreement. The Commission found that the proposed agreement did not sufficiently safeguard the employees' rights and conditions, and as such, it did not meet the statutory requirements under the FW Act. The decision emphasised the importance of ensuring that labour hire arrangements do not lead to a deterioration of employees' terms and conditions and that employees' rights are adequately protected. The FWC's decision stands as a reminder of the need for labour hire agreements to comply with the FW Act and prioritise the interests of employees.

G.T.H Installations

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established